Question: Question 2 3 1 pts Your U . S . firm has a 1 0 0 , 0 0 0 payable with a 3 -
Question
pts
Your US firm has a payable with a month maturity. Which of the following will hedge your liability?
All the strategies, executed correctly, will hedge the FX risk.
Take a long position in a forward contract on with a month maturity.
Buy the present value of today at the spot exchange rate, invest in the UK at i
Buy a call option on with a strike price in dollars.
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